Dexon TechnologyRayong, Thailand — September 5, 2024 — Dexon Technology plc has announced its promising Q2 2024 results.
Dexon reported for Q2 2024:
A total revenue of 194 million Baht, an increase of 54.1% year over year.
A net profit of 22 million Baht, up approximately 200% year over year.
These results mark the highest Q2 revenue in the company’s history and signal a strong growth trajectory.
International Branches Drive Sales
The main driver of this record showing was Dexon’s expansion into international markets. Dexon’s branches in the USA and Europe have brought in greater opportunities, strengthening relations with former clients while acquiring new clients from Latin America, the USA, Europe, and Asia.
The company’s revenue cycle tends to fluctuate seasonally, with higher revenue in the second half of the year. Dexon’s primary clients operate in the energy and infrastructure sectors, where planned maintenance, inspections, and repairs typically occur during low season in the final quarter of the year. This is when Dexon is most active, as clients require engineering inspection services during their downtime.
However, the company's international expansion is smoothing out revenue streams throughout the year. Since other regions, like South and North America, operate on different seasonal cycles due to differing environmental conditions, Dexon has been able to receive more projects during the slump period in Asian markets.
A Productive First Half of 2024
The findings of Q2 enhanced for the overall picture of 1H 2024. The boost in revenue improved the overall results from the first half of the year, resulting in:
A total revenue of 337 million Baht, a 24.1% increase year over year.
A net profit of 16 million Baht, up 188% year over year.
Despite a 7.1% rise in services costs and a 26.2% increase in selling and administrative costs during 1H2024, Dexon still experienced remarkable growth.
The company’s international pipeline inspection services was the primary driver of Dexon’s success. International pipeline inspection services accounted for 45% of the revenue, 126% higher when compared to the same period last year. Most of this revenue came from clients in North and South America. Another factor was the decrease in financial costs after repaying short-term and long-term debt.
Looking ahead, Dexon expects further growth in Q4 2024, with increased revenue from its newly established subsidiaries in Germany and the USA.
Dr. Mallika noted, "We are confident in our strategic direction for 2024 and expect to meet our 704-million-Baht revenue target. We are fully committed to driving growth in both domestic and international markets, creating key partnerships, and expanding into adjacent businesses that will be pivotal milestones in our ongoing development."